ACI 3I0-012 Question Answer
What recommendation does the Model Code make to banks accepting a stop-loss order?
The Model Code emphasizes the importance of clear, concise documentation and on-going lines of communication.
Bank management must guarantee a fixed price execution to the counterparty.
The Model Code recommends that only experienced dealers should be allowed to take such orders.
Bank staff must secure the approval of the counterparty’s management to accept such orders.
TESTED 15 Jul 2025
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